Mr. Cyrus Clops, the president of Giant Enterprises, has to make a choice between two possible investments: Cash Flows ($thousands) Project CO C1 C2 IRR(%) A -450 +250 +300 14 B -225 +120 +179 19.8 The opportunity cost of capital is 5%. Mr. Clops is tempted to take B, which has the higher IRR. However, Mr. Clops is wrong. Show him how to adapt the IRR rule to choose the best project Win this case project B has a higher IRR than project A. However, project B is half the size of project A. Mr. Clops can compute the incremental IRR (IRR). Mr. Clops should take project B when the discount rate is less thant the IIRR= 7.7% Win this case project B has a higher IRR than project A. However, project B is half the size of project A. Mr. Clops can compute the incremental IRR (IRR). Mr. Clops should take project A when the discount rate is less thant the IRR= 7.7% Win this case project B has a higher IRR than project A. However, project B is half the size of project A. Mr. Clops can compute the incremental IRR (IRR). Mr. Clops should take project B when the discount rate is less thant the IRR= 10% O Win this case project B has a higher IRR than project A. However, project B is half the size of project A. Mr. Clops can compute the incremental IRR (IRR). Mr. Clops should take project A when the discount rate is less thant the IRR= 10%